GBP to be monitored 9/2/2023

The pound sterling reversed the expected bearish trend yesterday but temporarily touched the stop-loss order published during the previous analysis at 1.2100, recording its highest level at 1.2115.

Technically, and by looking at the 4-hour chart, we notice the pair’s attempt to stabilize above 1.2060, and the RSI is trying to get positive signals, but it is not enough yet; on the other hand, Stochastic is moving around overbought areas, and we may witness some fluctuation until The official trend for today’s trading session is obtained.

We prefer to monitor the price behaviour of the pair to be in front of one of the following scenarios:

To get a bullish trend, we need to witness the breach of 1.2115, targeting 1.2150, and the gains may extend later to visit 1.2180.

Sneaking below 1.2045 puts the pair under negative pressure to retest 1.2000, and you must pay close attention around 1.2000 because breaking it would lead the pair to complete the downward movement, targeting 1.1970 & 1.1930.

Note: Trading on CFDs involves risks. Therefore, all scenarios may be possible. This article is not a recommendation to buy or sell but rather an explanatory reading of the price movement on the chart.

S1: 1.2045	R1: 1.2115
S2: 1.2000	R2: 1.2150
S3: 1.1970	R3: 1.2190